NOTICE OF DISQUALIFICATION
Superannuation Industry (Supervision) Act 1993
To:
Mr Tien Loc Vu
SEAHOLME VIC 3018
I, James O’Halloran, a delegate of the Commissioner of Taxation, give you notice as required by subsection 126A(6) of the Superannuation Industry (Supervision) Act 1993 (SISA), that I have disqualified you under subsection 126A(1) of the SISA.
I have disqualified you as I am satisfied that you have contravened the SISA on one or more occasions and the nature, seriousness and number of the contraventions provides grounds for disqualifying you.
The disqualification takes effect on the day on which it is made.
Dated: 10th January 2017
James O’Halloran
Deputy Commissioner of Taxation
Per Colleen Shelton
Note 1:
Under subsection 126A(7) of the SISA, details of this disqualification notice will be published in the Commonwealth Government Notices Gazette.
Note 2:
Under section 126K of the SISA, it is an offence for a disqualified person, who knows that he or she is a disqualified person, to be, or act as a:
trustee, investment manager or custodian of a superannuation entity
responsible officer or a body corporate that is a trustee, investment manager or custodian, of a superannuation entity
The maximum penalty for committing this offence is two years jail.
Note 3:
Under subsection 126A(5) of the SISA, we may revoke this disqualification on our own initiative or on your written application.
Note 4:
Under section 344 of the SISA, if you are affected by this decision and are not satisfied with it, you can ask the Commissioner to reconsider the decision. This request must be made in writing within 21 days of receiving notice of this decision and must give the reasons you think the decision is wrong.
Overview
The Superannuation Industry (Supervision) Act 1993 (SISA) was enacted by the Commonwealth Parliament to address the need for effective oversight and regulation of the superannuation industry, aiming to protect the interests of superannuation fund members. The legislation established the Australian Prudential Regulation Authority (APRA) as the prudential supervisor of the industry and granted it powers to ensure the financial soundness and efficient operation of superannuation funds. A key policy objective of the SISA is to safeguard the retirement savings of Australians by imposing strict standards on trustees, investment managers, and other entities involved in the management of superannuation funds. The Act provides mechanisms for the disqualification of individuals who engage in misconduct or breaches of regulatory requirements, ensuring that those who do not meet the necessary standards are prevented from participating in the industry. This legislative framework is critical in maintaining the integrity and stability of the superannuation system, which is a fundamental component of Australia’s retirement income policy.
Scope and Application
The Superannuation Industry (Supervision) Act 1993 (SISA) applies to individuals and entities involved in the supervision and management of superannuation funds in Australia. Specifically, the Act targets trustees, investment managers, custodians, and responsible officers of superannuation entities. The geographic reach of the Act is national, as it is a Commonwealth Act, and it applies to all superannuation entities and their representatives throughout Australia, irrespective of state or territory boundaries. The Act aims to maintain the integrity and proper functioning of the superannuation system by imposing certain standards and practices on those managing superannuation funds. Notably, the Act includes provisions for disqualifying individuals who breach its requirements, with the disqualification barring them from acting in certain capacities within the superannuation industry. Any disqualified person found to contravene the restrictions set by the Act may face criminal penalties, including up to two years in jail. The Act also provides mechanisms for disqualification notices to be published and for reconsideration or revocation of disqualification by the Commissioner.
Key Provisions
The main operative sections of the Superannuation Industry (Supervision) Act 1993 (SISA) in this context include subsection 126A(6) which empowers a delegate of the Commissioner of Taxation to give a notice of disqualification to a person who has contravened the Act, and subsection 126A(1) which allows for disqualification of such a person. The notice provided to Mr. Tien Loc Vu specifies that he has been disqualified as the delegate is satisfied that he has contravened the SISA on multiple occasions, warranting this disqualification.
The Act imposes obligations on individuals such as Mr. Vu, who have been found to contravene the provisions of the SISA, to refrain from acting as a trustee, investment manager, or custodian of a superannuation entity. This includes any responsible officer or body corporate that would otherwise be a trustee, investment manager, or custodian of a superannuation entity. The Act also requires that if Mr. Vu is aware of his disqualified status, he must not engage in any activities that would make him liable under section 126K of the SISA.
Should Mr. Vu breach the terms of his disqualification, he may be subject to criminal consequences. Specifically, section 126K of the SISA states that it is an offence for a disqualified person to act in any capacity related to a superannuation entity. The maximum penalty for this offence is two years in jail, underscoring the seriousness of the contraventions and the resultant disqualification. This legal framework ensures that individuals who are found to have contravened the SISA are held accountable and are prevented from continuing to engage in activities that could harm superannuation entities or their beneficiaries.